Tourism and Hospitality Workforce Development Strategy

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    TOURISM AND HOSPITALITYWorkforce Development Strategy

    Attracting and keeping

    good people in the tourism

    and hospitality industry

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    Contents

    Message from Industry . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1

    Message from the Service Skills Australia CEO . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2

    Perspectives of a Treasury Head . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3

    Preamble. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4

    Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

    Final word . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

    The aim of the strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

    Background. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

    Priority Area 1: A highly skilled workforce . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9

    Focus Area 1: More responsive training system . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

    Focus Area 2: Better recognition of existing knowledge and skills. . . . . . . . . . . . . . . . 10

    Focus Area 3: Accelerated pathways. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

    Focus Area 4: Enhancing business and management skills. . . . . . . . . . . . . . . . . . . . . 10

    Priority Area 2: Expanding the traditional workforce. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

    Focus Area 1: Welfare to work target groups . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

    Focus Area 2: Engaging Indigenous workers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

    Focus Area 3: Managing the generational change: Young people . . . . . . . . . . . . . . . . 12

    Focus Area 4: Using overseas workers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

    Focus Area 5: Current workforce . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

    Priority Area 3: Access to quality workplaces. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

    Focus Area 1: Improved attraction and recruitment of staff. . . . . . . . . . . . . . . . . . . . . 14

    Focus Area 2: Enhanced retention strategies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

    Focus Area 3: Increasingly productivity through job re-design

    and more exible employment arrangements and work practices . . . . . . . . . . . . . . 15

    Focus Area 4: Improving industry image and the provision of career pathways . . . . . 15

    Priority Area 4: Better workforce planning . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

    Support from our IAC members . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17

    The following document is supported and endorsed by the tourism and hospitality industry.

    Whilst the document sits with Service Skills Australia (the Industry Skills Council for the

    Tourism and Hospitality Sector) it is owned and maintained by the sector, for the sector.

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    Message from Industry

    National and international data indicates that there is a contributing shortage of

    suitably qualied and skilled workers for the tourism and hospitality industry.

    The tourism and hospitality industry is forecast to experience continued strong growth in the years

    to come. To support the industrys success, and facilitate this projected growth, industry must work

    together to ensure we have access to suitable skilled labour. Appropriately skilled, quality personnel

    are integral to the success of business in any industry, and can provide a competitive advantage.

    Customers already expect high levels service from our businesses. This means that industry

    must nd innovative and exible ways to manage our existing and future staff. It will

    require looking beyond traditional methods and sources to attract and retain staff.

    This Workforce Development Strategy is an important step in continuing to address the skills and

    labour shortages in the tourism and hospitality industry. The document represents a commitment from

    industry to work together. It is a way for industry to articulate their vision for workforce development.

    The workforce development strategy focuses on four key priorities:

    The creation of a highly skilled workforce.

    Access to quality employment.

    Shaping the future through better workforce planning.

    Expanding the traditional workforce.

    We would like to acknowledge the support of the Australian Hotels

    Association in the development of this important document.

    With the support of our industry skills council, Service Skills Australia, the industry has united

    with a common vision of a strong, successful future, fostered by access to quality trained, skilledemployees. This workforce development strategy provides the means for that vision to be realised.

    John Hart and John SweetmanCo-chairs of the Tourism and Hospitality Industry Advisory Committee

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    Service Skills Australia

    Message from the Service Skills Australia CEO

    Service Skills Council is proud to present the Tourism and

    Hospitality Workforce Development Strategy. This is an

    important document and represents a common clear vision

    that industry has for its labour force and its development.

    Workforce development covers a wide range of key activities,

    strategies and policies impacting on individuals and teams,

    the organisation in which they operate, the systems that

    surround them, as well as on the broader industry, regional

    business and community environment. It can include

    business analysis, policy, job design, recruitment, attraction,

    retention and separation, as well as resources, support

    mechanisms, capability development and incentives.

    To the Commonwealth Government, workforce

    development means improving the productivity ofAustralias workforce and increasing participation in

    the workforcein essence, increasing the capability

    and capacity of the Australian workforce.

    The Tourism and Hospitality Workforce

    Development Strategy outlines the priority areas for achieving the overall goal of

    access to the number of skilled employees that the tourism and hospitality industry

    will require to be successful in the future. A number of particular focus areas have

    been outlined in the strategy that will require action to attain these priorities.

    This document has been developed by industry, for industry and will provide clear direction and

    an agreed strategy to confront the challenges facing the tourism and hospitality industry.

    By industry working together, with Service Skills Australia, we can ensure that the tourism and

    hospitality industry will have access to the right people, with the right skills, at the right time.

    Jeanette AllenChief Executive Ofcer, Service Skills Australia

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    Perspectives of a Treasury Head

    As a rather crude but nevertheless instructive generalisation, there is no policy intervention

    available to government, in these circumstances that can generate higher national income

    without expanding the nations supply side capacity: policy actions that expand the nations

    supply capacity target at least one of the 3 Ps Population, Participation or Productivity.

    Many of the policy problems that we face today have a whole-of-

    government character. There is no room for silos between central, line

    and operational agencies; nor between levels of government.

    Comments made by Ken Henry The Secretary of The Treasury

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    Service Skills Australia

    Preamble

    The tourism and hospitality industry (our industry) must plan for the future if it is to ensure

    skill and labour shortages will not derail projected growth. Demographic and economic

    challenges mean Australian business will be confronted with continuing skill and labour

    shortages over the next two decades. If overall business performance is to improve, the

    issues surrounding skills and labour shortages must be managed more effectively.

    The challenge is greater than nding sufcient

    people to meet a growing market.

    An increasingly demanding customer will expect higher service levels, and increasing

    the productivity of the workforce will require an innovative and exible approach to our

    existing and potential staff. Employers will need to look beyond traditional workforce

    issues and consider how they can develop attractive, productive workplaces.

    Our aim should be to ensure that quality staff will choose to work in the industry over other sectors.

    Employees should have their choice to work

    in our industry conrmed by feeling valued

    through secure and rewarding jobs that

    offer coherent career paths and competitive

    salaries.

    Overview

    The Workforce Development Strategywill act as a catalyst for an industry wide approach

    to human resource needs, by providing a strategic response to the issues identied.

    This document has been developed with industry, and by industry, to provide an overarching

    framework to address the workforce challenges confronting the tourism and hospitality industry.

    Whilst the document will sit with the Industry Skills Council (Service Skills Australia) it will be owned

    by the industry and to that extent, industry will take responsibility for its currency and relevancy.

    The strategy seeks to encourage all those involved in the industry, including

    government, to work together. The strategy identies priority areas and actions that

    can be realised in a coherent and coordinated way to address workplace issues.

    It seeks to transform businesses in the tourism and hospitality industry into employers

    of choice, that deliver highly protable, world class visitor experiences.

    Final word

    Whilst much of the detail of the strategy will be implemented within sectors, and at

    a regional level, it is important that solutions will require industry, education and

    training providers, and government to work together, and individual businesses to

    examine what they are doing today, and what they can do differently tomorrow.

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    Tourism and Hospitality Workforce Development Strategy

    The aim of the strategy

    People working across tourism and hospitality will be

    appropriately skilled and able, through the application of their

    expertise, to contribute to the growth and development of a

    sustainable, productive and protable tourism and hospitality

    industry.

    The goals of the strategy include:

    GOAL 1

    There are enough people to do the work required, to the standard

    required, to consistently deliver a world-class visitor experience.

    GOAL 2

    The people who work in the tourism and hospitality industry have appropriate

    skills and the personal attributes to deliver a quality experience. There are

    education and training systems in place to recognise and deliver the skills and

    knowledge required to resource the tourism and hospitality industry.

    GOAL 3

    People with experience and expertise are retained within the tourism and hospitality

    sector because they have opportunities to grow and build satisfying careers.

    GOAL 4

    Businesses in the tourism and hospitality sector have the right information, management

    systems and processes in place to maximise the contribution of their people.

    GOAL 5

    The tourism and hospitality industry has the structures and mechanisms in

    place to address its future workforce and skill needs on an ongoing basis.

    The industrys workforce development strategy will be based on the following interrelated priority

    areas:

    the creation of a highly skilled workforce

    access to quality employment

    shaping the future through better workforce planning and

    expanding the traditional workforce

    Each priority area contains a series of focus areas that this strategy document seeks to clarify and

    explain.

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    Service Skills Australia

    Background

    Successful tourism and hospitality businesses depend rst and foremost on the people at the

    coalface. People deliver a world-class visitor experience. Tourism Australia is committed to attracting

    high yielding visitors to Australia and this coupled with an increasingly demanding domestic

    consumer means that now more than ever the industry must deliver a premium experience.

    This requires a strategy that does more than

    simply puts a body in front of customers.

    Employers across the industry, large and small, face the same challengeto attract and keep people

    with the right skills and personal attitudes and attributes to deliver a quality experience. However,

    there are labour and skills shortages in a number of occupations and regions in the tourism and

    hospitality industry. These shortages cannot be simply attributed to demographic changes, a

    growing economy or blamed on an education and training system delivering insufcient numbers.

    Industry and regional structures, business size, workplace conditions, and the mobility of workers

    are all contributing to these shortages and these are likely to continue for the next two decades.1

    Staff shortages, inadequate skills and knowledge and/or high turnover can impede

    the ability of a hotel or other tourism business to deliver quality service.

    Successful businesses, regions and nations recognise that investment is increasingly attracted to

    locations that have the best available pool of skills and knowledge. Cost competitiveness is important

    but it is not enough on its own. Quality people provide a key competitive advantage. Labour shortages

    and the constant scramble to replace staff can damage the ability of a business to continuously

    deliver quality service. A failure to provide solutions will put a brake on projected growth.

    The creation of an efcient and productive workforce requires more than an adequate

    number of workers. The unpredictable 24/7 trading environment and the small number

    of very busy peak periods within the week (Friday and Saturday nights and Sundays)have led to a heavy reliance on casual workers. Part time work in the industry fulls a

    vital need in society. Students, working parents and older Australians want part time

    work to enable them to earn an income whilst meeting other commitments.

    The continuity of the industrys commitment to

    these employees, along with creating further

    career options for full time employees, is

    important.

    People wanting to work in the industry must be able to nd rewarding employment that

    meets their personal and family responsibilities. By recognising the importance of longterm workforce planning, we can assist the industry, community and business partners

    to address the specic issues of skill shortages and workforce development.

    Whilst in the past formal education and training has been seen as a key mechanism for developing

    the workforce, the approach outlined in this strategy recognises that there needs to be better co-

    ordination across a broader range of areas if we are to achieve the required improvement in workforce

    productivity. Some effort needs to be made to ensure that the investment in skilling employees and

    potential employees is made in those with aptitude for role in which the skills are to be used.

    1 An Employment Prole of the industry is located in Appendix One

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    In addition, areas such as industry development, workplace relations, effective education

    and training, the introduction of family friendly work practices, accessing overseas workers,

    retaining mature age people through changed retirement patterns and encouraging people

    currently outside the workforce to seek employment, will all inuence the desire and ability of

    people to take up jobs in our industry and will determine the shape of the future workforce.

    This document calls for industry to collectively focus on both workplace and workforce planning

    and development to meet the challenge of a world class tourism industry. Industry must create

    a culture that values skills, innovation and the people who work in our businesses.2

    The Tourism and Hospitality Workforce Development Strategy (THWDS)

    acknowledges that skill acquisition is an ongoing, incremental process that

    is best driven by continuous improvement in the workplace.

    The responsibility for meeting the skills

    acquisition needs of the industry and individuals

    is not conned solely to our education and

    training systems.

    Work organisation, recruitment policies and practices, employee relations and job

    design are also involved. Assuring appropriate skills acquisition strategies for the

    industry and individuals requires some consideration of all these elements.

    The strategy outlined here aims to create an environment where a highly skilled

    culture can grow and ourish by forging strong partnerships between the

    industry, workers, the education and training sector and government.

    The THWDS acknowledges that the development of a skilled workforce capable of supporting the

    industry and maintaining high standards cannot be left to chance. It requires deliberate strategy

    that draws together the policies and practices that contribute to creating an efcient, highly skilled

    workforce. This will ensure the industry has people with the right skills, both now and into the future.

    A number of issues need to be addressed to achieve this. These include:

    A better understanding of current and future skill and labour

    needs, shortages and possible areas of supply.

    Establishing ways of identifying and attracting suitable people

    currently not engaged in the labour market.

    Implementing workplace structures and practices that

    encourage increased productivity and efciency.

    Ensuring the industry is an attractive long term career option.

    Creating an industry led, demand driven training and education system.

    Improving labour market matching services.

    Reducing regulation that negatively impacts business performance.

    Encouraging innovation in all aspects of business process.

    2 The exact skills that will be required by the Hospitality & Tourism workforce over the next two

    decades are uncertain but are broadly dened in the accredited Training Package and tertiaryeducation programs. We must monitor trends and constantly adapt these to future needs

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    Service Skills Australia

    Priority areas of action

    A highly skilled workforce

    Focus Area 1

    Creating a more responsive

    training and learning system

    Focus Area 2

    Better recognition of

    learning and skills

    Focus Area 3

    Accelerated pathways

    Focus Area 4

    Focus on management

    and business skills

    Focus Area 1

    People currently not in workforce &welfare to work targeted groups

    Focus Area 2

    Engaging Indigenous workers

    Focus Area 3

    Managing the generationalchange: Young people and existing

    and mature age workers

    Focus Area 4

    Using overseas workers

    Access to quality workplaces

    Focus Area 1

    Improved attraction and recruitment

    Focus Area 2

    Enhanced retention strategies

    Focus Area 3

    Flexible work practices and

    employment arrangements

    Focus Area 4

    Improving industry image and the

    provision of career pathways

    Better workforce planning

    Focus Area 1Better information and analyses

    of data at a regional level

    Focus Area 2

    Destination management planning

    and labour force mapping to

    assist workforce planning

    Focus Area 3Provide high quality workforce

    information, tools and services

    Expanding the traditional workforce

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    Tourism and Hospitality Workforce Development Strategy

    Priority Area 1: A highly skilled workforce

    Developing and enhancing the skills of the workforce is a critical component of this strategy. The

    strategy is underpinned by the assumption that a better match between the skills of employees

    and the skills required in the workplace make for a more productive industry. It also assumes

    that effective education and training is an essential component of a sustainable industry.

    Focus Area 1: More responsive training system

    It is essential that the education and training system meets the needs of

    employers and their staff. Whilst, training and education must be seen as

    only one element of a broader national human capital agenda,

    poorly designed or delivered training fails to deliver the skills

    and knowledge required by individuals and their employers

    and does not maximize the signicant investment of public

    and private funds.

    It is evident that barriers exist for both workers and employers when addressing the

    accessibility of training. This can relate to the viability of the programs, as well as the

    availability within the appropriate work/ life balance. Training should be certied, have a

    exible delivery format, and be conducive to employees work and life commitments.

    Despite a network of high quality training providers that provide internationally recognised

    programs3, there is a lack of industry condence in the current vocational educational and

    training (VET) system.4Many of the key elements of an effective system are in place. This

    strategy aims to provide for better co-ordination, improved communication and industry

    leadership to create a truly customer driven system. Key principles underpinning this are:

    Suppliers (e.g. RTOs) must be accountable to the consumers

    (businesses and employees in the industry).

    State agencies need to stop impeding the emergence of an industry led national system

    Regulatory systems need to speak in harmony with the needs of industry rather than against them.

    Consolidated labour force data at a national, state and regional level is

    required to inform operators, service providers and policy makers.

    The establishment of Skills Australia and an expanded role for Industry Skills Councils

    will assist this process. Other key components of focus area include:

    Access to quality education and training

    Industry would expect that the number of the additional 630,000 places will be made available

    to businesses in the tourism and hospitality industry given the size of the industry, its projected

    employment growth and the current qualications prole of workers in the sector.

    3 Typically at tertiary level.

    4 A recent Tourism Skills Survey showed that only 30% of tourism employers believed graduates from VET courses have the

    skills to meet employer needs. More than three quarters of the respondents wanted more input into course content and

    believed the vocational education and training sector needed to provide more practical job skills. Major issues included;

    limited industry involvement in decision making and ineffective consultative arrangements-

    glorication of traditional trades and lack of parity of esteem for the skills of service industries-

    a supplier dominated training system with limited focus on workplace needs-

    ineffective monitoring of RTOs-

    limited condence and understanding by employers and employees in the system-

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    Industry leadership

    The broader role envisaged for skills councils is also welcomed and these should

    become cross portfolio skills and labour force councils that advise government on

    key workforce and workplace issues. The revised Tourism, Hospitality and Events

    Tourism Packagealigns competencies more closely with industry practices and provides

    the foundations for an effective qualication framework for the industry.

    Ensuring quality demand driven service provision

    Concerns remain with the level of oversight of registered training organisations by State Training

    Authorities. There should be a return to similar arrangements as were operating in the 1990s

    when the industry training council played an active role in screening training providers.

    Industry requires that they can ensure that assessment

    processes are rigorous enough to increase and maintain the

    integrity of industry VET qualications.

    Focus Area 2: Better recognition of existing knowledge and skillsTourism and hospitality occupations are often not recognised as professions and the skills

    and occupations not appropriately valued. Greater effort is required to use Recognition of

    Prior Learning (RPL) to provide formal recognition and qualications for people that have

    been working in the industry for many years without forcing them to undertake a full VET

    course. RPL processes that have the condence of the industry must be identied and

    funded. The coordinated use of the new training places should help achieve this goal.

    Focus Area 3: Accelerated pathways

    There is a need for alternative models of apprenticeship training to promote

    accelerated learning and make trades such as cooks more attractive to mature

    workers and not disadvantage people who wish to stay in regional locations.5

    Focus Area 4: Enhancing business and management skills

    Greater effort is required to develop and maintain the capacity

    of managers in the industry to run operations effectively and to

    attract, develop and retain staff.

    These skills will be highly variable in any industry dominated by owner/operator SMEs, such as

    tourism, hospitality and accommodation. There needs to be a targeted effort to ensure operators

    have the skills and knowledge to operate productive businesses, and provision to ll the gaps

    is accessible to industry. It should be noted that industry has signicant concerns about the

    consistency and quality of training and assessment of its potential and existing employees.

    5 For instance, the accelerated chefs apprenticeship established in Canberra provides an

    alternative to the time-based model and can encourage employers to invest in training

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    Tourism and Hospitality Workforce Development Strategy

    Priority Area 2: Expanding the traditional workforce

    Increasing labour force supply or participation will be a key element

    in addressing current and projected labour shortages.

    Australia still has signicant scope to increase

    workforce participation despite the current

    record employment levels.

    The rate in some areas is still low compared to other developed countries.

    Business can improve participation rates in our industry by developing strategies to target:

    People with disabilities, parents and welfare recipients returning to the workforce.

    Older workers, including those returning to the industry after a period of absence.

    Indigenous people.

    The emerging Generation Y employee.

    Overseas workers.

    Current workforce.

    People who speak languages other than English.

    Focus Area 1: Welfare to work target groups

    There is signicant scope to increase the participation of welfare recipients. The ongoing labour

    and skills shortages will require the industry to invest more in recruitment strategies that seek to

    engage suitable people from these groups. There is agreement among stakeholders that improving

    workforce participation in the industry by under-represented groups could ease labour pressuresand bring broader benets to the hospitality and tourism industry, society and the economy.

    Improving workforce participation of these groups will require greater pre-employment screening to

    determine suitability. There needs to be a willingness by employers to make reasonable adjustments

    to employment arrangements and workplace practices to cater for the needs of these groups.

    Focus Area 2: Engaging Indigenous workers

    Tourism research indicates that engagement with Indigenous Australians and their culture

    is one of the major experiences that overseas visitors are seeking when the travel here.

    A signicant number of young Indigenous people will be entering the workforce

    over the next two decades. Many of these are located in regional areas

    where tourism and hospitality businesses are major employers.

    Employment in the hospitality and tourism industry has the potential to act as a pathway for Indigenous

    economic independence through the development of Indigenous-owned tourism enterprises. Close

    local community connections can increase the commitment to work from local Indigenous people

    and increase the skills base of individuals interested in developing a career in the industry.

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    Focus Area 3: Managing the generational change: Young people

    The Generation Y employee (those born from 19781994) is a workforce challenge

    that employers will need to meet. It is this age group that provides a signicant

    part of the traditional tourism and hospitality workforce and this generation has

    signicantly different expectations of the workplace than previous generations.

    Industry needs through its implementation of Discover Hospitality and Discover Tourism 6make

    a concerted effort to improve its current image and brand to present itself as a career choice

    to this group. The campaign has considered the vocational motivations to Gen Y (among other

    target groups) and will, in its approach, appeal to this area of potential labour supply.

    Existing and mature age workers

    Initiatives introduced to attract older workers and accommodate their needs

    will prove even more valuable as this workforce pool grows.

    The industry is well suited to encourage

    participation of semi-retired workers who are

    seeking short-term jobs on a seasonal basis or

    jobs that offer reduced hours of work.

    Labour shortages and increased longevity have meant that the participation of mature age people

    has increased substantially over recent years, but there is still room to increase numbers by

    encouraging mature aged workers to delay their retirement. Part time work in the tourism and

    hospitality industry fulls a need for older workers to continue to augment this retirement income.

    Industrys reliance on casual and seasonal labour is for many of the target groups a positive

    selling point for those who do not wish to work full-time. More exible hours and conditions

    will encourage mature aged workers to remain in the workforce, rather than being forced

    to retire completely. These workers potentially bring personal and professional skills and

    knowledge which would benet employers in the industry, whilst the exibility of work

    hours in the industry may be an appropriate t to the employees lifestyle needs.

    The industry will not be able to make further serious inroads into lifting participation by older

    Australians without a exible workplace relations system that allows people to transition from

    full time employment into retirement through a mix of exible working arrangements.

    Further research is required to establish the motivators, attractors

    and inhibitors of this potential workforce.

    In addition to addressing labour shortages, the employment of older workers is likely to:

    increase workforce diversity

    increase workforce expertise and experience

    reduce the budgetary pressures from ageinggenerally, workers

    pay more tax and have a lower call on welfare and

    cater for an increasingly aging customer base.

    6 An industry-wide career and vocational education information and promotional campaign

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    Focus Area 4: Using overseas workers

    The industry currently utilises overseas staff through a range of measures such

    as Working Holiday Visas, employer sponsored 457 visas, overseas students

    and permanent residence arrangements for skilled migrants.

    Research suggests that future workforce needs will require ongoing access to overseas workers.

    Therefore, consideration must be given to how the industry will enter the global market for skilled

    and unskilled labour without undermining the employment conditions of Australian workers.

    Areas which warrant specic consideration include:

    Extending the Migration Occupations in Demand List (MODL) to recognise front

    of house occupations and food and beverage managers as skilled trades.

    Linking recent changes that enable graduates to remain in the country for

    eighteen months after graduation to long term employment strategies.

    Reviewing 457 (employer sponsored) visa conditions and arrangements to

    make them more accessible to the industry or specic regions.

    Fast tracking visa processing through a greater use of labour agreements negotiated

    between the Australian Government and employers and/or industrial associations.

    Despite recent changes to the visa administration program now allows fast-tracking of

    applications for employers with a proven track record of employing visa holders, there

    is a need for further innovation in the area of immigration and visa processing.

    Reviewing existing educational visa and immigration agent arrangements

    to ensure they support industry labour force needs.

    Develop an integrated process to facilitate the migration of suitably

    qualied overseas workers to identied employers.

    Promote the establishment of relationships with identied countries that provide access to

    suitably qualied workers. This would include the development of programs to train people

    to a certain qualication levels, linked this to a fast track visa nomination process.

    Focus Area 5: Current workforce

    There is a greater need for industry to recognise and develop

    the current workforce that is already available to them. These

    people are already working, and therefore are willing and

    capable to work. This makes these workers a valuable and

    attractive source for employers.

    This process can be achieved through making the job roles attractive to the workers,

    especially in comparison with other industries that they may have previously worked in.

    These current workers are most attractive to employers as marginalised and vulnerable

    segments of the workforce may pose a demanding and problematic process. Industry

    must rst prove its legitimacy, ability and capacity to treat such workers fairly.

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    Priority Area 3: Access to quality workplaces

    Whilst acknowledging that work in tourism and hospitality

    fulls a wide variety of need for both full time and part time

    workers, greater effort is required to assess the impact of

    existing employment arrangements and job design on the

    attraction and retention of quality staff.

    An ongoing challenge facing the industry is how to reduce staff turnover and retain

    people in the industry for longer periods. Given some turnover is necessary given the

    prole of part time work, studies indicate that the tourism and hospitality sector has

    high levels of turnover which not only adds to business costs but also affects service

    levels and the industrys image. The industry should acknowledge that retention of full

    and part time staff has a link to the level of productivity and service offered.

    The direct and indirect cost of high turnover needs to be monitored to

    assess the consequences a highly casualised workforce.

    The industry has a focus to retain staff through a variety of measures; however, is

    aware of the demand for casual staff. The goal is to achieve a balance between

    staff, and have support from the skilled, full-time and part-time staff.

    Focus Area 1: Improved attraction and recruitment of staff

    Improved recruitment strategies, job matching and career development opportunities

    need to be employed to encourage people to seek work and remain in the industry.

    Some casual employees may have the skills and interest to progress in the industry

    work needs to be done (through Discover Hospitality and by other means) to better

    articulate these opportunities to existing staff. Other employees may be workingcasually by choice and they benet from the exibility that this provides them.

    The use of customised recruitment tools and screening processes7can assess whether staff

    have the potential to work long term in the hospitality and tourist sector. These processes and

    tools aim to assess aptitude for the industry, establish attitude to work, recognise relevant prior

    learning and experience and establish skills gaps for each potential and existing employee.

    Focus Area 2: Enhanced retention strategies

    The industrys high turnover rate is due in part to the seasonal nature of the sector which requires

    that a large inux of workers in the peak season and smaller numbers in off peak seasons. These

    characteristics, in conjunction with very few, very busy periods in many businesses weekly work cycle,

    necessitates a large proportion of part time workers are engaged. Whilst this suits many employees,

    who want part time work to achieve their work life balance, the industry still needs a base employment

    pool. The industry needs to work toward a balance of employment options that achieve both quality

    and exibility objectives. In addition to targeted recruitment strategies and employment models to

    expand the potential workforce, the industry will need to facilitate strategies to retain people who

    are already working in the industry and encourage them to commit to careers in the sector (where

    this ts with their work life objectives). This may include innovative strategies such as seasonal

    job sharing, incentives, better articulation of career paths, improved employment conditions and

    7 Such as that developed by ACER (through the Hospitality NSSS Project).

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    the formal recognition of skills gained on the job to improve workforce retention. These initiatives

    may be developed at the individual workplace level or through an industry-wide approach. There

    can be a range of strategies that are exible enough to be tailored to individual circumstances.8

    Focus Area 3: Increasingly productivity through job re-design and

    more fexible employment arrangements and work practices

    Businesses will need to maximize the productivity of each employee and achieve the highest

    level of workplace efciency if they are to maintain protability. This is especially so in an

    industry which has both a large and mobile workforce and narrow prot margins.

    Greater collaboration between management and staff will be

    required to establish and maintain a workplace culture that

    fosters innovation and rewards effort.

    Consideration needs to be given to redesigning jobs to enhance business exibility and

    responsiveness and maximize the opportunities to utilise the skills of individual workers. It could

    also lead to increased employment certainty for these employees. Flexibility will especially benetsmaller businesses, those in rural and regional areas and those affected by seasonality.

    Flexible employment arrangements will need to take account of the particular needs of

    an increasingly diversied labour force. Some employees will increasingly seek a better

    work-life balance which in many cases will result in their preference for part time work.

    Employers in tourism and hospitality can facilitate this to allow their staff can spend time

    with their families and pursue their interests and responsibilities outside work.

    Focus Area 4: Improving industry image and

    the provision of career pathwaysThe tourism and hospitality industry by necessity engages a large number of part time

    employees and also needs a growing number of full time career aspirants to service

    healthy growth. Whilst this is the case, the industry involves, for many, working hours that

    are outside the 9-5, Monday-Friday traditional working day. This is to some unattractive

    and means that the drawing pool for potential employees is diminished.

    In addition, the industry is made up of predominantly small businesses that operate on

    low margins. This makes it difcult for the industry to compete with industries that are in a

    boom cycle of higher returns that can afford to pay higher wages to attract workers.

    The industry has developed and is implementing a vocationaleducation and careers campaign that promotes the

    opportunities that the industry presents to a range of potential

    employees.

    The resources (developed under the Discover Hospitality brand) feature a series of

    motivations that are designed to attracted younger job seekers, those looking to change

    careers, older workers, those in the welfare system and Indigenous Australians.

    The industry need to be behind the implementation of the career and education

    strategy to better prepare itself with a workforce to meet future needs.

    8 The industry should seek to utilize the new training places announced by

    the Federal Government to support these strategies.

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    Priority Area 4: Better workforce planning

    Signicant and wide-ranging data about the current and predicted tourism and

    hospitality workforce is available in a range of government agencies.

    However there are signicant gaps, the data is not available in the one place and it is

    not provided in an easily accessible way to business. The many small business which

    dominate the industry nd it hard to use in everyday operational settings.

    It will be impossible to accurately predict and respond to the challenges confronting

    the industry without the availability of timely information on current and future labour

    market information. This information needs to be linked to broader industry and

    economic development processes at the regional, state, and national level.

    Improved information is essential to support

    growth projections and investment decisions.

    For many smaller businesses in the industry, everyday management

    decisions are similarly fraught due to a lack of operational data.

    Industry has been provided with Commonwealth funding to establish a process to explore the

    feasibility of consolidating existing data sources into a comprehensive labour force information

    system. This system will assist businesses at the regional level by providing a prole of the current

    and future labour force and specic challenges. The prole will analyse such things as:

    The size and makeup of existing regional workforce.

    The number of high school and tertiary students.

    Level of unemployment and underemployment.

    Demographic prole of community and tourism and hospitality labour force.

    Industry growth projections.

    Options to increase the regional labour force.

    Regional plans and workforce development plans should work together to

    maximise the benet delivered to industry and the Australian Economy.

    The proles would cover the different sectors within the tourism and hospitality

    industry and provide appropriate regional projections of whole of industry,

    sector-specic and occupation-specic workforce and skill needs.

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    Support from our IAC members

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    published by Service Skills Australia